Case Summary
| Case ID | 20F-H2019032-REL-RHG |
|---|---|
| Agency | ADRE |
| Tribunal | OAH |
| Decision Date | 2020-08-11 |
| Administrative Law Judge | Thomas Shedden |
| Outcome | loss |
| Filing Fees Refunded | $500.00 |
| Civil Penalties | $0.00 |
Parties & Counsel
| Petitioner | John R Ashley | Counsel | — |
|---|---|---|---|
| Respondent | Rancho Reyes II Community Association, Inc. | Counsel | Wendy Erlich |
Alleged Violations
Bylaws Article III, Section 4
Outcome Summary
The ALJ dismissed the petition upon rehearing, finding that the Petitioner failed to prove by a preponderance of the evidence that Respondent violated Bylaws Article III, Section 4, because that provision is unambiguous and applies only to member quorums, not requiring a quorum of Board members at membership meetings.
Why this result: Petitioner failed to carry the burden of proof. The Bylaws were interpreted as a contract whose unambiguous terms (Article III, Section 4) do not support the Petitioner's claim regarding Board quorum at member meetings.
Key Issues & Findings
Failure to establish a quorum of Board members at membership meetings
Petitioner alleged Respondent violated Bylaws Article III, Section 4 by conducting member-meetings without a quorum of Board members present. The ALJ concluded the cited Bylaw provision was unambiguous and imposed no such requirement, only defining a quorum as 1/10th of the membership votes for action at a member meeting.
Orders: The Administrative Law Judge dismissed the petition following the rehearing, concluding the Petitioner had not shown the Respondent violated the cited Bylaws provision.
Filing fee: $500.00, Fee refunded: No
Disposition: petitioner_loss
- McNally v. Sun Lakes Homeowners Ass’n #1, Inc., 241 Ariz. 1, 382 P.3d 1216 (2016 App.)
- Grubb & Ellis Management Services, Inc. v. 407417 B.C., L.L.C., 213 Ariz. 83, 138 P.3d 1210 (App. 2006)
- Rowland v. Union Hills Country Club, 157 Ariz. 301, 757 P.2d 105 (1988 App.)
- ARIZ. REV. STAT. Title 32, Ch. 20, Art. 11
- ARIZ. ADMIN. CODE § R2-19-119
Analytics Highlights
- McNally v. Sun Lakes Homeowners Ass’n #1, Inc., 241 Ariz. 1, 382 P.3d 1216 (2016 App.)
- Grubb & Ellis Management Services, Inc. v. 407417 B.C., L.L.C., 213 Ariz. 83, 138 P.3d 1210 (App. 2006)
- Rowland v. Union Hills Country Club, 157 Ariz. 301, 757 P.2d 105 (1988 App.)
- ARIZ. REV. STAT. Title 32, Ch. 20, Art. 11
- ARIZ. ADMIN. CODE § R2-19-119
- Ariz. Rev. Stat. § 32-2199.01
Decision Documents
20F-H2019032-REL Decision – 772795.pdf
20F-H2019032-REL Decision – 772833.pdf
Case Participants
Petitioner Side
- John R Ashley (petitioner)
Appeared and testified on his own behalf at the rehearing,.
Respondent Side
- Wendy Erlich (HOA attorney)
Wendy Erlich Attorney PLLC
Counsel for Respondent Rancho Reyes II Community Association, Inc.,.
Neutral Parties
- Thomas Shedden (ALJ)
Office of Administrative Hearings
Administrative Law Judge who issued the original decision and the rehearing decision,,. - Judy Lowe (Commissioner)
Arizona Department of Real Estate
Recipient of the final orders,. - A. Leverette (ADRE staff)
Signed the transmission of the original order dated March 3, 2020. - LDettorre (ADRE staff recipient)
Arizona Department of Real Estate
Email recipient of the final order. - AHansen (ADRE staff recipient)
Arizona Department of Real Estate
Email recipient of the final order. - djones (ADRE staff recipient)
Arizona Department of Real Estate
Email recipient of the final order. - DGardner (ADRE staff recipient)
Arizona Department of Real Estate
Email recipient of the final order. - ncano (ADRE staff recipient)
Arizona Department of Real Estate
Email recipient of the final order.
